Ways we support our clients

Customs basics: classification, valuation & origin

The responsibility to classify goods by commodity code, for customs purposes, usually rests with the supplier.

All too often this is left unchallenged and can result in businesses paying too little or too much in the way of duties which in turn can trigger revenue investigations.

Our teams review classifications and manufacturing processes linked to these, to ensure you are achieving the best possible position.

Deciding who pays the duty

There are a complex combination of factors that determine where duty is paid as set out by Incoterms.

Many businesses, even those who have been trading globally for many years, lack a deep enough understanding of how to structure these to create the best outcome from a customs duty point of view.

We have helped businesses across all sectors and jurisdictions structure these elements efficiently.

HMRC audits and investigations

HMRC enquiries can be demanding on your teams and organisation, we can help you to relieve the pressure.

Where a difficult customs duty matter arises, we can deal with HMRC on your behalf to help negotiate an acceptable solution.

Many of our team are ex-HMRC specialists or have vast experience dealing with HMRC and are therefore well placed to facilitation constructive conversations with the right revenue teams.

Determining origin

The country where the goods have been manufactured is one of the most important factors in deciding where customs duty should be paid.

Making sure you have the country of origin correct and that you can prove this through a valid Certificate/Proof of Origin is vital.

We work with businesses to review rules of origin alongside Free Trade Agreements and opportunities to invoke Generalised System of Preferences which can result in zero or reduced customs duty.

Dealing with ‘double hops’

There are instances where it is possible for Customs Duty and VAT to be suspended if goods entering the UK go directly to a Customs Warehouse.

We help businesses understand when and how to make use of this opportunity.

Inward-outward processing relief

Customs special procedures allow you to store, temporarily use, process or repair your goods and get partial or full relief from import duty.

We’ll help you understand if this applies to your goods and support you with completing all necessary administration.

Temporary admission

This facility has been predominately useful to high value luxury items like art, classic cars, yachts etc. Nonetheless, TA can be multifaceted and applicable to scientific, educational, sporting and marketing events, as well as other purposes.

When relocating these items across borders there are conditions under which you will be exempt from paying customs duty.

Our teams can advise on these conditions which are often time limited.

Meeting your international trade obligations

We'll help you meet the requirements of the Union Customs Code (UCC) and all of the relevant adjacent Regulations. It is also important to be aware of international norms put forward by the World Trade Organisation and World Customs Organisation, as well as rules imposed by individual countries you may be dealing with.

One particularly interesting example refers to Northern Ireland that is technically a UK territory, but is still closely linked to the EU, requiring additional understanding of rules and business implications thereof.

We can also help you become an Authorised Economic Operator (AEO). From a customs point of view, the benefits are:

Obtaining customs authorizations more easily
Access to further customs simplifications (e.g. non-stop customs clearance)
Submission of summary customs declarations with reduced data content.

Obtaining AEO status is a project in and of itself and can take anywhere between 6-12 months. It will require the involvement of multiple stakeholders from within your business (HR, Legal, Logistics, Procurement, IT, etc.). Our experts can support you with:

Analysing the processes affected by the AEO license requirements, advising on further process development if necessary
Preparation and submission of the AEO application
Assistance throughout the customs due diligence process until your AEO authorization is issued.